Managed Funds Investing in China and India

Discussion in 'Shares & Funds' started by alanc, 8th Dec, 2007.

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  1. alanc

    alanc Member

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    Hi everyone,

    It seems China and India are continuing to boom. Can anyone suggest good funds to invest in these markets? And does anyone have an opinion if this is a good idea?

    thanks

    alanc
     
    alanc, 8th Dec, 2007
    #1
  2. Simon Hampel

    Simon Hampel Founder Staff Member

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    I like Platinum Asia - it has good diverse allocations across all of Asia (ex Japan) - and they take a fairly long term view looking for value, rather than picking the current hot stocks.

    There are some other Asia-wide funds out there too: Fund Statistics | Annual Returns (CAGR) | Region Asia (ex Japan) (Platinum Asia is considered a "wholesale" fund, you need to sign up and edit the options to show those funds as well)
     
    Simon Hampel, 8th Dec, 2007
    #2
  3. alanc

    alanc Member

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    Hi Sim,

    Thanks for that. I had a look at Platinum Asia through CommSec - and it seems to be a retail fund (min $3000 investment).

    alanc
     
    alanc, 8th Dec, 2007
    #3
  4. Simon Hampel

    Simon Hampel Founder Staff Member

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    You must have been looking at one of the many platforms which offer Platinum Asia as an investment option (eg: Profile: Perpetual - Platinum Asia (PER0376AU) )

    All Platinum funds have a minimum investment of $25,000 - Platinum Asset Management if you invest directly and not via a platform which offers it to retail investors.

    Check the MER and APIR on the fund you were looking at via Commsec ... if the MER is higher than 1.54% or the APIR does not start with "PLA", then it is a platform version and not a direct Platinum fund.
     
    Simon Hampel, 8th Dec, 2007
    #4
  5. alanc

    alanc Member

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    Thanks again Sim. You're right, I was looking at a Skandia GIS Platinum Asia fund - and yes, the MER was (I think) 2.9%.

    Excuse my ignorance, but is the only way to invest a fund such as Platinum Asia with less than $25,000 to go through one of these retailers, who add their own management fee? Is that how it works?

    cheers,

    alanc
     
    alanc, 9th Dec, 2007
    #5
  6. Simon Hampel

    Simon Hampel Founder Staff Member

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    Pretty much, yes. There are a number of platforms out there which offer Platinum Asia ... so shop around to make sure you aren't paying too much in fees ... 2.9% is way too high for my liking. I'd be looking for something no higher than 2%. Perpetual charge 2.75%, which I think is also too high.

    I see no justification for these companies to charge 1 - 1.5% fee just for sending your money to Platinum to be invested ... the only "value" they are offering is a portfolio service (assuming you use it for that purpose), and perhaps allowing you to invest in a fund that you normally wouldn't get exposure to.

    Don't forget that if you can get $10,000 cash together, then you can invest directly in Platinum Asia via a margin loan @ 60% LVR (there are a few fund managers offering 70% or 75% max LVR on Platinum Asia). Naturally there is higher risk when using a margin loan.
     
    Simon Hampel, 9th Dec, 2007
    #6
  7. alanc

    alanc Member

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    Thanks again Sim. Gradually getting the hang of this. I guess I"ll consider my options at this stage.

    alanc
     
    alanc, 9th Dec, 2007
    #7
  8. pinkeye

    pinkeye Active Member

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    I could not find any dedicated or predominantly India funds, does anybody know of any? :confused: Thank you.
     
    pinkeye, 9th Dec, 2007
    #8
  9. bundy1964

    bundy1964 Well-Known Member

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    INES which is listed on the ASX.
     
    bundy1964, 10th Dec, 2007
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  10. pinkeye

    pinkeye Active Member

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    Thank you, though it doesn't seem possible to invest in that fund without a direct shares account :(. Maybe I need to get one.
     
    pinkeye, 10th Dec, 2007
    #10
  11. Glebe

    Glebe Well-Known Member

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    You can create a Comsec account pretty easily.
     
    Glebe, 10th Dec, 2007
    #11
  12. willy1111

    willy1111 Well-Known Member

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    Fidelty have an india fund
     
    willy1111, 10th Dec, 2007
    #12
  13. ozzy_madman

    ozzy_madman Member

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    How does one invest in the Fidelity India fund ? I checked the PDS on their website (see below) but it does not include an application form.

    Fidelity Australia - Fidelity India Fund

    cheers
    ozzy_madman
     
    ozzy_madman, 10th Dec, 2007
    #13
  14. samaka

    samaka Well-Known Member

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    From this page Fidelity Australia - Offer Documents

     
    samaka, 10th Dec, 2007
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  15. ozzy_madman

    ozzy_madman Member

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    samaka thanks for the link. But the PDS that can be downloaded from this page does not contain an application form. The site indicates that this page only provides information for financial advisers.

    I tried to google about this fund to get some information about investing but nothing shows up other that their own page.

    Does anyone know how to invest in this ?

    cheers
    ozzy_madman
     
    ozzy_madman, 10th Dec, 2007
    #15
  16. bundy1964

    bundy1964 Well-Known Member

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    "Financial advisers can access these funds via a master trust, wrap or similar investment platform."

    I think those are the key words, see your friendly local FP or go to plan B.
     
    bundy1964, 10th Dec, 2007
    #16
  17. samaka

    samaka Well-Known Member

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    Yeah my point was that you can't directly invest. You gotta go through a FP or similar.
     
    samaka, 11th Dec, 2007
    #17
  18. willy1111

    willy1111 Well-Known Member

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    I'm with ETrade online, and you can purchase it online via Etrade.

    They charge an ongoing wrap fee of 0.66% to $100K. I think it is a wrap:confused:

    They waive all entry and exit fees, and you don't need to fill in any paperwork - can all be done online.

    Not sure if it is a cheap way to get exposure to the fund - but it is quite simple.
     
    willy1111, 11th Dec, 2007
    #18
  19. ozzy_madman

    ozzy_madman Member

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    Thanks for the info folks

    I have setup an account with ETrade and will invest in this shortly.

    regards
    ozzy
     
    ozzy_madman, 12th Dec, 2007
    #19
  20. Marlon

    Marlon New Member

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    My SMSF invests into China via a QFII allocation fund. Ensures that I get direct exposure to Chinese stocks.

    Its been a cracking product.
     
    Marlon, 12th Dec, 2007
    #20
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